- Issues related to women.
ILO report on Women in Business and Management
What to study?
For prelims: About ILO.
For mains: Key findings, concerns and reforms needed.
Context: The International Labour Organization (ILO) recently released its second global report, titled Women in Business and Management: The business case for change.
- A critical mass of 30 per cent women is need by the enterprises in order to reap the benefits of gender diversity.
- Almost half of the surveyed enterprises reported women holding less than 30 per cent of entry-level management positions.
- In 60 per cent of companies, fewer than 30 per cent of senior managers and top executives are women.
- Across the world, men are still more likely to participate in the labour market than women. The average global labour force participation rate of women in 2018 stood at 48.5 per cent, while that of men was 75 per cent. This equates to a 26.5 percentage point gender gap in labour force participation.
- Just for Asia and the Pacific, the average female labour force participation rate has declined from 52.9 in 1991 to 45.3 per cent in 2018, dropping by 7.6 percentage points.
Benefits associated with gender-inclusive cultures:
- Enterprises with gender-inclusive cultures “are over 60 per cent more likely to have improved profits and productivity”. Such businesses are “9 per cent more likely to have improved business performance”.
- A study by the World Economic Forum has predicted that “if the global gender gap in labour market participation is closed by 25 per cent by 2025, an additional $5.3 trillion would be added to GDP globally”.
In an era of skill shortages, women represent a formidable talent pool that companies aren’t making enough of. Smart companies who want to be successful in the global economy should make genuine gender diversity a key ingredient of their business strategy. Representative business organizations and employer and business membership organizations must take a lead, promoting both effective policies and genuine implementation.
Sources: the Hindu.